Regularly review exempt status to avoid FLSA ‘job creep’

Employees who don’t fit into one of the Fair Labor Standards Act’s exemption categories are entitled to overtime pay. Their job titles don’t matter. What counts are actual job duties. Those duties, of course, change over time.

That’s why it’s important to review exempt status regularly—ideally, every time you update a job description. That way, you won’t be caught by surprise if an employee claims her job duties changed so much that she’s now an hourly employee.
Recent case: Cynthia Jarvis sued her employer, NASA, alleging that over the years her job had become akin to a secretarial position. She wanted payment for all the extra hours she said she had worked from home.

But NASA was prepared with her job descriptions and could clearly show she was doing administratively exempt tasks, such as negotiating and tracking contracts. The court tossed out Jarvis’ case. (Jarvis v. Griffin, No. 6:08-CV-138, MD FL, 2009)

Today's Training:

The federal government predicts its new crackdown on employee misclassification will reap at least $7 billion in federal revenue over the next 10 years. Don't become a notch on the IRS' belt! Discover your compliance mistakes nowâbefore the feds doâand learn how to manage your independent contractors legally....Click here to find out more.